MTN Nigeria’s acquisition of MoMo Payment Service Bank for N16.35 billion marks a significant expansion into Nigeria’s fast-growing financial services sector. This deal, which involved purchasing the remaining 7.17% stake for N6.95 billion, brings MoMo PSB entirely under MTN’s ownership.
The acquisition allows MTN to leverage its telecommunications infrastructure and reach millions of Nigerians, including those without bank accounts, by offering services like mobile money transfers, bill payments, and small loans.
MTN’s expansion comes amid an increasing demand for digital banking solutions in Nigeria, where traditional banking access remains limited, especially in rural areas. MoMo PSB has been a vital player in mobile-based financial services, and MTN’s total ownership is expected to drive new offerings and innovations for Nigeria’s unbanked population.
This move also aligns with MTN’s broader goal to become a leading fintech player in Africa, positioning itself competitively against other telecommunications and tech companies pursuing digital finance across the continent.
MoMo PSB was initially launched under a banking license issued by the Central Bank of Nigeria, focusing on financial inclusion.
This acquisition reflects MTN’s commitment to expanding financial services as part of its long-term strategy, with the company having invested in digital banking technologies, partnerships, and products to cater to Nigeria’s vast market. By integrating MoMo’s banking capabilities more fully, MTN aims to offer a comprehensive suite of financial services to both individual customers and small businesses, supporting economic growth and financial empowerment.
